By – nsjfinancialservices
24.08.22 06:13 PM
Do you budget with your partner?
As a couple, it’s likely you have other plans for your money than seeing how fast you can spend it. However, with life being so expensive and budgets often feeling like something of an afterthought, it’s understandable why so many couples don’t think about their finances until they’re in crisis.
It’s never too early (or late) to start talking about your money and how you both view spending, saving, and investing. Working with your partner on a budget is one of the best ways to determine where your money is going now and how you can save more in the future. It doesn’t matter if one partner makes more than the other—budgeting as a team will help you both thrive financially.
Budgeting as part of your relationship can be hard and tricky at times. After all, we are talking about spending habits and personal finance here. However, it is important that both of you understand the importance of budgeting together as partners so you can continue to grow your relationship in the long run.
Here’s 6 tips to make budgeting with your partner easier
1. Always include them in all decisions by having discussions together.
Always include them in all decisions by having discussions together. While it’s true that finances can be an intimate and personal subject, it’s important that you both feel like you’re part of the process. Start by having discussions about how much you make and the expenses you both have. Be open to talking about both your short-term goals (like paying off debt) and long-term plans (like saving for retirement). Remember that budgeting is a team sport—both partners will have to contribute to make it successful.
2. Make Budgeting a part of your relationship priorities.
No matter what stage of your relationship you’re in, you should make budgeting a priority. Even if one partner makes more than the other and could theoretically foot the majority of the bills, you still need to work together to create a spending plan. Doing so will enable you to set long-term goals and create a savings strategy that will help protect you both in case of an emergency. Plus, working together on your budget will help you strengthen your communication and relationship skills.
Have monthly budget sessions with just the two of you where you track your expenses, income & even upcoming plans/big purchases.
3. Have separate goals that you can help each other with.
Your goals will likely be different as a couple and as individuals. There may be times when prioritizing one goal will mean missing out on the other. For example, if you want to save for a dream vacation, but your car needs new tires and you’re miles away from having enough money in the bank, you’re going to have to make a decision about what to prioritize. Budgeting as a couple means deciding how to allocate your money and communicating that with each other.
While you have goals as a couple, ensure that you have separate goals that you can help each other with. You’re a team but you are also an individual. Prioritizing this can help you and your partner to feel in control of their life.
4. Become accountability Partners!
It’s easy to fall off the budgeting wagon when following your own rules. When you have a partner, you have someone to offer you some serious accountability. You can help each other stay on track by offering to help with the other person’s budget (if they’re willing). You can also discuss what you’re each saving and investing in. By keeping each other accountable, you’ll stand a better chance of meeting your goals.
Cutting costs can be hard, but it’s comforting to know that your partner is on the same page, has your back & is on your side to accomplish a goal.
5. Set short, medium & long-term goals together as a couple AND as an individual.
This will benefit both of you. It allows for sacrifices made to be perceived as split more equally and won’t cause a rift within the relationship.
Whether you’re saving for a house, a wedding, or want to start a business, it’s important to set short, medium, and long-term goals together as a couple. It doesn’t matter if one partner makes more than the other, you’re partners in life and every goal you have together should be discussed, considered & placed on the timeline.
You should also set individual goals, such as paying off debt, saving for retirement, or investing in stocks and bonds. This will help you build wealth and financial security no matter what stage of life you’re in.
6. Find ways to reward each other when goals are met.
Once you work together to set and reach your financial goals, you should find ways to reward each other. This could be as simple as going out to dinner or buying each other small gifts when goals are met. This will help keep you motivated and show your partner that you appreciate what they do for the relationship.
